Prison Planet.com » Investors Start To Panic As A Global Bond Market Crash Begins

 

Investors Start To Panic As A Global Bond Market Crash Begins

Michael Snyder

Economic Collapse June 4, 2015

Is the financial collapse that so many are expecting in the second half of 2015 already starting?

Many have believed that we would see bonds crash before the stock market crashes, and that is precisely what is happening right now.  Since mid-April, the yield on 10 year German bonds has shot up from 0.05 percent to 0.89 percent.  But much of that jump has come this week.  Just a couple of days ago, the yield on 10 year German bonds was sitting at just 0.54 percent.  And it isn’t just Germany – bond yields are going crazy all over Europe.  So far, it is being estimated that global investors have lostmore than half a trillion dollars, and there is much more room for these bonds to fall.  In the end, the overall losses could be well into the trillions even before the stock market collapses.

I know that for most average Americans, talk about “bond yields” is rather boring.  But it is important to understand these things, because we could very well be looking at the beginning of the next great financial crisis.  The following is an excerpt from an article by Wolf Richter in which he details the unprecedented carnage that we have witnessed over the past few days…

On Tuesday, ahead of the ECB’s policy announcement today, German Bunds sagged, and the 10-year yield soared from 0.54% to 0.72%, drawing a squiggly diagonal line across the chart. In just one day, yield increased by one-third!

Makes you wonder to which well-connected hedge funds the ECB had once again leaked its policy statement and the all-important speech by ECB President Mario Draghi that the rest of us got see today.

And today, the German 10-year yield jump to 0.89%, the highest since October last year. From the low in mid-April of 0.05% to today’s 0.89% in just seven weeks! Bond prices, in turn, have plunged!  This is the definition of a “rout.”

Other euro sovereign bonds have gone through a similar rout, with the Spanish 10-year yield soaring from 1.05% in March to 2.07% today, and the Italian 10-year yields jumping from a low in March of 1.03% to 2.17% now.

What this means is that the central banks are losing control.

In particular, the European Central Bank has been trying very hard to force yields down, and now the exact opposite is happening.

This is very bad news for a global financial system that is absolutely teeming with red ink.  Since the last financial crisis, our planet has been on the greatest debt binge of all time.  If we are moving into a time of higher interest rates, that is going to cause enormous problems.  Unfortunately, CNBC says that is precisely where things are headed…

The wild breakout in German yields is rocking global debt markets, and giving investors an early glimpse of the uneasy future for bonds in a world of higher interest rates.

The shakeout also carries a message for corporate bond investors, who have snapped up a record level of new issuance this year, and are now seeing negative total returns in the secondary market for the first time this year.

So why is this happening?

Why are bond yields going crazy?

According to the Wall Street Journal, financial regulators in Europe are blaming the ECB’s quantitative easing program…

A recent surge in government bond market volatility can be blamed on the quantitative easing program of the European Central Bank, according to one of Europe’s top financial regulators.

EIOPA, the body responsible for regulating insurers and pension funds in the European Union, has warned that the ECB’s decision to buy billions of euros’ worth of sovereign bonds, to kick-start the region’s economy, has caused markets to become choppier.

And actually this is what should be happening.  When central banks start creating money out of thin air and pumping it into the markets, investors should rationally demand a higher return on their money.  This didn’t really happen when the Federal Reserve tried quantitative easing, so the Europeans thought that they might as well try to get away with it too.  Unfortunately for them, investors are starting to catch up with the scam.

So what happens next?

Well, European bond yields are probably going to keep heading higher over the coming weeks and months.  This will especially be true if the Greek crisis continues to escalate.  And unfortunately for Europe, that appears to be exactly what is happening…

Greece will not make a June 5 repayment to the International Monetary Fund if there is no prospect of an aid-for-reforms deal with its international creditors soon, the spokesman for the ruling Syriza party’s lawmakers said on Wednesday.

The payment of 300 million euros ($335 million) is the first of four this month totaling 1.6 billion euros from a country that depends on foreign aid to stay afloat.

Greece owes a total of about 320 billion euros, of which about 65 percent to euro zone governments and the IMF, and about 8.7 percent to the European Central Bank.

On Tuesday, Greece’s creditors drafted the broad outlines of an agreement to put to the leftist government in Athens in a bid to conclude four months of negotiations and release aid before the country runs out of money.

“If there is no prospect of a deal by Friday or Monday, I don’t know by when exactly, we will not pay,” Nikos Filis told Mega TV.

In fact, there are reports that both the ECB and the Greek government are talking about Greece going to a “parallel domestic currency”…

Biagio Bossone and Marco Cattaneo write that according to several recent media reports, both the Greek government and the ECB are taking into consideration the possibility (for Greece) to issue a parallel domestic currency to pay for government expenditures, including civil servant salaries, pensions, etc. This could happen in the coming weeks as Greece faces a severe shortage of euros. A new domestic currency would help make payments to public employees and pensioners while freeing up the euros needed to pay out creditors.

If Greece defaults and starts using another currency, the value of the euro is going to absolutely plummet and bond yields all over the continent are going to start heading into the stratosphere.

That is why it is so important to keep an eye on what is going on in Greece.

But no matter what happens in Greece, it appears that we are moving into a time when there will be higher interest rates around the world.  And since 505 trillion dollars in derivatives are directly tied to interest rate levels, that could lead to a financial unraveling unlike anything that we have ever seen before in the history of our planet.

As I have warned about so many times before, 2008 was just the warm up act.

The main event is still coming, and it is going to be extraordinarily painful.

This article was posted: Thursday, June 4, 2015 at 5:47 am

Prison Planet.com » Investors Start To Panic As A Global Bond Market Crash Begins

The Freedom Act is WORSE than the Patriot Act

 

The Freedom Act is WORSE than the Patriot Act

Daniel McAdams
Lew Rockwell Blog
June 3, 2015

By a vote of 67-32 the Senate today passed the USA FREEDOM Act, just days after the expiration of key elements of the USA PATRIOT Act. The FREEDOM Act is billed as a reform of the unconstitutional and recently-ruled illegal bulk collection of Americans’ telecommunications, but in fact it is a whole new level of attack on civil liberties.

Here are just a couple of ways the FREEDOM Act is worse than the PATRIOT Act:

1) The recent decision of the 2nd U.S. Circuit Court of Appeals that the bulk collection of American citizens’ telecommunications information was not authorized by the USA PATRIOT Act means that as of this afternoon, the bulk collection of American citizens’ telecommunications information was an illegal act. The government was breaking the law each time it grabbed our metadata. The moment the FREEDOM is signed by President Obama that same activity will become legal. How is making an unconstitutional and illegal act into a legal one a benefit to civil liberties?

2) The FREEDOM Act turns private telecommunications companies into agents of state security. They will be required to store our personal information and hand it over to state security organs upon demand. How do we know this development is a step in the wrong direction? It is reportedly the brainchild of Gen. Keith B. Alexander, the NSA director at the time! According to press reports, this was but a public relations move to deflect criticism of the bulk collection program. Alexander “saw the move as a way for Obama to respond to public criticism without losing programs the NSA deemed more essential,” reports Homeland Security News.

3) The FREEDOM Act turns private telecommunications companies into depositories of “pre-crime” data for future use of state security agencies. It is a classic authoritarian move for the state to co-opt and subsume the private sector. Once the FREEDOM Act is signed, Americans’ telecommunications information will be retained by the telecommunications companies for the use of state security agencies in potential future investigations. In other words, an individual under no suspicion of any crime and thus deserving full Fourth and Fifth Amendment protection will nevertheless find himself providing evidence against his future self should that person ever fall under suspicion. That is not jurisprudence in a free society.

4) The FREEDOM Act provides liability protection for the telecommunications firms who steal and store our private telecommunications information. In other words, there is not a thing you can do about the theft as long as the thief is a “private” agent of the state.

It is very telling that the same Congressional leaders who have supported the PATRIOT Act for all these years are now propagandizing Americans in favor of the FREEDOM Act.

FREEDOM Act becomes law; freedom, RIP.

This article was posted: Wednesday, June 3, 2015 at 5:36 am

Prison Planet.com » The Freedom Act is WORSE than the Patriot Act

Native American Tribes Declare Sovereignty, Break Away From State of Maine

Native American Tribes Declare Sovereignty, Break Away From State of Maine:

Native American Tribes Declare Sovereignty, Break Away From State of Maine

2015-06-01 21:40



From: blacklistednews.com

Due to Governor Paul LePage launching direct political and environmental
attacks against the Penobscot,Micmac and Passamaquoddy tribes of Maine,
leaders of those tribes have recalled their representatives from the
state legislature and are asserting their sovereignty from the State of
Maine. “The Maine Indian Land claims Settlement act has failed and we
cannot allow ourselves to continue down the path,” Chief Francis said.“We’re saying it’s a failed social experiment.”



In August of 2011, Governor LePage signed an Executive Order recognizinga
“special relationship” between the sovereign State of Maine, and the
sovereign tribes within the State. In this order, the Governor
instructed all State agencies to include a tribal liaison, whose role
would be to facilitate communication and direct policy in all areas of
State jurisdiction in such a way as to include the voice and interest of
native peoples. The Order instructs that“the State and Tribes should
work together as one,”and Tribal interests should be heeded when
developing policies and procedures “on matters that significantly or
uniquely affect those tribes.”



In April of this year, LePagerescinded
that Order. The new Order maintains that native tribes in Maine retain
their sovereignty, but holds that they now have a “relationship between
equals with its own set of responsibilities,” yet declares that tribal
lands, forms of tribal governance and natural resources controlled by
the native tribes are subject to the laws and jurisdiction of the State
of Maine. The takeover of lands was prompted by anEPA letter
to the State, and claims that lack of Tribal participation in “the
State’s interests” required the usurpation of Tribal sovereignty. The
Letter, in fact, actually supports the Tribal position, as the Tribal
standards of environmental protection are much stricter than those of
the EPA or the State of Maine. Those close to the Penobscot Tribe
tellThe Fifth Column that LePage threatened to sue the EPA over the
proposed new regulations, leading the Agency to back down. LePage’s
Order, then, becomes a direct political attack against the Tribes in
affront to their sovereignty and an effort to exact more control over
the land by the State of Maine.



Even though Penobscot Chief Kirk Francis and his Tribe couldn’t have been“happier”
with the EPA ruling, the State of Maine blamed the Tribe for poor water
quality and dissolved its sovereignty over the land and resources. This
comes in spite of a Penobscotlawsuitover
fishing rights in the Penobscot River and another legal battle between
the State and the Passamaquoddy Tribe over rights in other fisheries in
the region, as well as Maine’s already stringent water quality
standards.Initially“ a little bit — well, a lot — confused” by the new Executive Order, Chief Francisdeclared,
“We have gotten on our knees for the last time, from here on out, we
are a self-governing organization, focused on a self-determining path.”



Francis spoke outside of the Maine Statehouse on May 26 in a rally
celebrating the severing of diplomatic ties between the Tribes and the
State. He was joined by leaders of the Passamaquoddy Tribe, but not the
Houlton and Maliseet Tribes, who cite too much of a vested financial
interest in the outcome of several bills currently pending. Matthew Dana
II and Wayne Mitchell, just prior to the rally, issued statements on
the floor of the legislature announcing the separation, and abandoning
their pro forma seats in the state government. Each Tribe was allotted
one seat in the legislature, where they were allowed to submit and
discuss bills, but denied the right to vote. According to the Tribes,
this is the first time since 1842 that a Native Tribe was not present in
the legislature.



“We have gone to great lengths to demonstrate good faith and cooperation, only to be lied to,”states
Passamaquoddy Chief Fred Moore. Meanwhile, LePage maintains in one
breath that it is the interests of the State of Maine that have not been
respected, yet in another breath has stated that he would veto any
Tribal bill that reaches his desk from the legislature. Urged to rejoin
the legislature by Speaker Mark Eves, former Representative Mitchell of
the Penobscot Nation told
supporters that the decision to leave non-voting positions in the
legislature had been made, and that any return would “be on our own
terms.” In the meantime, any interaction between the Tribes and the
State of Maine will take place as separate and equal nations, not
colonialized subservients to an occupying government that repeatedly
refuses to respect Tribal interests.



The unique break in diplomatic ties signals the reassertion of full
sovereignty for the Tribal Nations. The precedent and political
implications could spread to other tribes throughout North America, and
serve as a model for natives and non-natives alike as state and federal
governments continue to enact laws violating the rights of the People,
and others to protect the environmentally and economically destructive
interests of corporations. The reassertion of sovereignty, more
immediately,may protect
much of the land and water in Maine from fracking, Tar Sands
production, and mountain top mining. More importantly, the Tribes are declaring
that they no longer consent to the State to “define our sovereignty or
culture or to interfere with our self-governing rights.”





Source: blacklistednews.com

Prison Planet.com » BILDERBERG 2015 Elites Prepare For Nuclear And Economic Devastation

Prison Planet.com

June 2, 2015

The Bilderberg group will coalesce June 9-14th in the Austrian
Mountains at the Interalpen Hotel. How many of these instigators of
widespread tyranny will be discussing their million dollar safe bunkers
between meetings? As they plan to hide like moles while their hellish
plans are unleashed on the gullible masses.

This article was posted: Tuesday, June 2, 2015 at 5:51 am

Prison Planet.com » BILDERBERG 2015 Elites Prepare For Nuclear And Economic Devastation

Prison Planet.com » Rule By The Corporations

Paul Craig Roberts
Prison Planet.com
June 2, 2015

The
Transatlantic and Transpacific Trade and Investment Partnerships have
nothing to do with free trade. “Free trade” is used as a disguise to
hide the power these agreements give to corporations to use law suits to
overturn sovereign laws of nations that regulate pollution, food
safety, GMOs, and minimum wages.

The first thing to understand
is that these so-called “partnerships” are not laws written by Congress.
The US Constitution gives Congress the authority to legislate, but
these laws are being written without the participation of Congress. The
laws are being written by corporations solely in the interest of their
power and profit. The office of US Trade Representative was created in
order to permit corporations to write law that serves only their
interests. This fraud on the Constitution and the people is covered up
by calling trade laws “treaties.”

Indeed, Congress is not even
permitted to know what is in the laws and is limited to the ability to
accept or refuse what is handed to Congress for a vote. Normally,
Congress accepts, because “so much work has been done” and “free trade
will benefit us all.”

The presstitutes have diverted attention
from the content of the laws to “fast track.” When Congress votes “fast
track,” it means Congress accepts that corporations can write the trade
laws without the participation of Congress. Even criticisms of the
“partnerships” are a smoke screen. Countries accused of slave labor
could be excluded but won’t be. Super patriots complain that US
sovereignty is violated by “foreign interests,” but US sovereignty is
violated by US corporations. Others claim yet more US jobs will be
offshored. In actual fact, the “partnerships” are unnecessary to advance
the loss of American jobs as there is nothing that inhibits jobs
offshoring now.

What the “partnerships” do is to make private
corporations immune to the laws of sovereign countries on the grounds
that laws of countries adversely impact corporate profits and constitute
“restraint of trade.”

For example, under the Transatlantic
Partnership, French laws against GMOs would be overturned as “restraints
on trade” by law suits filed by Monsanto.

Countries that
require testing of imported food, such as pork for trichnosis, and
fumigation would be subject to lawsuits from corporations, because these
regulations increase the cost of imports.

Countries that do not
provide monopoly protection for brand name pharmaceuticals and chemical
products, and allow generics in their place, can be sued for damages by
corporations.

Obama himself has no input into the process. Here
is what is going on: The Trade Representative is a corporate stooge. He
serves the private corporations and will go on to a million dollar
annual salary. The corporations have bribed the political leaders in
every country to sign away their sovereignty and the general welfare of
their people to private corporations. Corporations have paid US senators
large sums for transferring Congress’ law-making powers to
corporations.http://www.theguardian.com/business/2015/may/27/corporations-paid-us-senators-fast-track-tpp When
these “partnerships” pass, no country that signed will have any
legislative authority to legislate or enforce any law that any
corporation regards as inimical to its bottom line.

Yes, the great promiser of change is bringing change. He is turning Asia, Europe, and the US over to rule by the corporations.

Only
those who have sold their integrity for money sign these agreements.
Apparently Merkel, a Washington vassal, is one of them. http://sputniknews.com/politics/20150530/1022740004.html

According
to news reports, both of France’s main political parties have sold out
to the corporations, but not Marine Le Pen’s National Front Party. In
the last EU elections, the dissident parties, such as Le Pen and
Farage’s, prevailed over the traditional parties, but the dissidents are
yet to prevail in their own countries.

Marine Le Pen objects to the secrecy of the agreements that establishes corporate rule. As Europe’s only leader, she speaks:

“It
is vital that the French people know about TTIP’s content and its
motivations in order to be able to fight it. Because our fellow
countrymen must have the choice of their future, because they should
impose a model for society that suits them, and not one forced by
multinational companies eager for profits, Brussels technocrats bought
by the lobbies, and politicians from the UMP [party of former president
Nicolas Sarkozy] who are subservient to these technocrats.”

It is vital that the American public also know, but not even Congress is permitted to know.

How
does it work, this “freedom and democracy” that we Americans allegedly
have, when neither the people nor their elected representatives are
permitted to participate in the making of laws that enable private
corporations to negate the law-making functions of governments and place
corporate profit above the general welfare?

Paul Craig Roberts
was Assistant Secretary of the Treasury for Economic Policy and
associate editor of the Wall Street Journal. He was columnist for
Business Week, Scripps Howard News Service, and Creators Syndicate. He
has had many university appointments. His internet columns have
attracted a worldwide following. His latest book, The Failure of Laissez Faire Capitalism and Economic Dissolution of the West is now available.

This article was posted: Tuesday, June 2, 2015 at 6:01 am

http://www.prisonplanet.com/rule-by-the-corporations.html 

Pray for Rand Paul! Sen. Rand Paul Remarks on Expiration of PATRIOT Act - May 31, 2015

Pray For This Man, the rampant corruption running a muck in Washington D.C., have him in their cross-hairs.  Why, because he is a true American Patriot, who believes, abides by and fights for upholding  the United States Constitution and the Bill of Rights.

THIS IS A VICTORY!!! SENATOR RAND PAUL IS FOR AMERICANS AND NOT FOR THE STATUS QUO! THIS IS THE GUY WE NEED IN THE WHITE HOUSE! END OF STORY!! Sen. Paul Appears on America's Newsroom on Fox News - June 1, 2015

Last Night Senator Paul gave one of the most patriotic speeches to and
for Americans.  All Americans need to wake up to the fact by adding more
security and taking more of your liberties, America is NOT the land
our forefathers fought for. They did not tell Britain oh its okay you
are going to forcibly take our records but they are not going to read
them,  yeah we believe you!!!  The revolution would NOT have happened. 
But it did and our forefathers said "NO" to all warrants issued by local
militants, they said NO to tyranny and demanded all warrants be
individually, with one name on it, signed by a Judge and the name cannot
just say "VERIZON"!  Wake up America, this man, Rand Paul, just changed
the conversation and it is up to true patriots to stand with Rand and
bring the Republic back to the once great beacon of hope it thrived
on!   Patriots let us join together in the fight to save America!!  Do your part!

» Liberals Think TPP is a Conspiracy Theory Alex Jones' Infowars: There's a war on for your mind!

» Liberals Think TPP is a Conspiracy Theory Alex Jones' Infowars: There's a war on for your mind!:

Liberals Think TPP is a Conspiracy Theory
Americans dangerously unaware of globalist trade takeover

by Rex Jones | Infowars.com | May 30, 2015
Share on Facebook3171Tweet about this on Twitter198Share on Google+0Email this to someonePrint this page

Infowars reporter Rex Jones takes to the streets of Austin, Texas, to ask locals if they know what the TPP (Trans-Pacific Partnership) is and whether they support this totalitarian secret trade deal set to crush our labor laws, food standards, internet freedom and health regulations.

5/29/2015 -- Global Earthquake Forecast -- Americas, Asia, Europe = Majo...

Clinton Foundation hit with racketeering lawsuit | WashingtonExaminer.com

Clinton Foundation hit with racketeering lawsuit | WashingtonExaminer.com.
Clinton Foundation hit with racketeering lawsuit

By Sarah Westwood

| May 27, 2015 | 5:00 am

Bill and Hillary Clinton and the Clinton Foundation have been hit with a racketeering lawsuit in Florida court.

The lawsuit, filed by Larry Klayman of Freedom Watch, includes a
legal request to have the Florida judge seize the private server on
which Hillary Clinton and her aides hosted their emails while she served
as secretary of state.

Klayman has filed dozens of lawsuits against the Clintons and other prominent politicians.

The racketeering, influenced and corrupt organizations, or RICO, case
alleges the former first couple and their family philanthropy traded
political favors for donations or generous speaking fees for Bill
Clinton while his wife was the nation's chief diplomat.

"Negotiations by email about influencing U.S. foreign policy or U.S.
Government actions to benefit donors to ... The Clinton Foundation or
sponsors of speaking engagements would not be captured on a U.S.
Government email account because her emails would not be with a U.S.
Government official," Klayman said in court documents obtained by the Washington Examiner."Hillary Clinton deleted 32,000 email messages from her email
server that included her communications arranging, negotiating, and
agreeing upon speaking engagements by Bill Clinton in return for large
speaking fees and donations to The Clinton Foundation," the documents,
dated May 20, said.

Klayman pushed the U.S. District Court for the Southern District of
Florida to order a "neutral forensic expert ... to take custody and
control of the private email server and reconstruct and preserve the
official U.S. Government records relating to the conduct of U.S. foreign
policy during Defendant Secretary Clinton's term as Secretary of
State."

Hillary Clinton handed over 55,000 printed pages of emails to the
State Department in November of last year and reportedly erased the
remaining records off her private server.

Critics of Clinton's decision to forgo use of an official email
account argue the presidential candidate could have simply withheld any
incriminating messages from the batch she gave the State Department.

Her supporters have dubbed the quest for Clinton's State Department emails a partisan "witch hunt."

Klayman pointed to the litany of scandals involving missing records
that have followed the Clintons for decades, including the fact that
thousands of emails disappeared
during Bill Clinton's administration after White House officials
threatened internal computer experts who blew the whistle on the
"suppression."

"It's a perfect RICO case, it fits completely," Klayman said of the
lawsuit. "Our Congress doesn't even have the guts to subpoena her
documents. They'd rather get on Fox News. So we felt had to bring that
case. Somebody's got to do it."

Klayman said a major reason for his lawsuit involves the fact that
Cheryl Mills, then-chief of staff to Hillary Clinton, and the secretary
of state herself "lied to the lower court" in by claiming there were no
documents related to a pair of Freedom of Information Act requests he
filed in 2012 while knowing those records actually did exist on the
private server.

One FOIA, filed May 2012, pertained to allegations that Hillary
Clinton issued waivers for preferred companies to do business with Iran
despite strict congressional sanctions. The other probed a 2012 leak of
classified information about Israel and Iran to the New York Times and
was filed in June of that year.

Klayman said records on the Clintons' private server are "in imminent
danger of being lost" in court documents and urged the court to
intervene.

Clinton Foundation officials did not return a request for comment on the case.

The massive charity drew fire after a book by Peter Schweizer entitled Clinton Cash
suggested foreign governments and companies with interests before the
State Department donated to the foundation with the expectation that
Hillary or Bill Clinton would ensure they received preferential
treatment from the agency.